Renewable energy firm seeks more time on city loan

A company that makes equipment for the wind and solar power industries is seeking more time to hire enough workers in order to avoid repaying a City of Milwaukee loan.

The Common Council in 2010 approved the $2 million forgivable loan for Ingeteam Inc. The Spanish company used the money to help finance a new factory in the Menomonee Valley Industrial Center.

Ingeteam spent around $15 million on the 114,000-square-foot facility, which makes generators and inverters for the wind and solar energy markets.

The terms of the city loan said the company would not have to pay back the money if it meets job-creation goals — including 275 full-time positions by 2015.

But because of "the continuing weakness of the economy," Ingeteam is not expected to meet those job targets "as early as originally contemplated," according to a new city proposal.

So, Ingeteam is seeking five more years to meet those job targets.

The company, which has 77 employees, would have until the end of 2020 to employ 275 full-time workers, under the new proposal.

"Even though we had a slower than forecasted growth in our employment numbers at this point, our commitment to reach 275 employees remains the same," said Aitor Sotes, Ingeteam chief executive officer.

"The markets for our products in the renewable energy sectors have not grown at the pace we expected," Sotes said in an email.

"However, we have developed partnerships in other industries such as marine, industrial drives etc., that have made us bring a new business unit to the U.S. earlier than anticipated, giving us confidence that we will reach our original employment numbers," he said.

That change, which needs council approval, is to have its initial review Thursday by the Redevelopment Authority's board.

Commercial Real Estate News

For decades, Brookfield's Blue Mound Road has been the Milwaukee area's busiest retail corridor, extending westward from its anchor at Brookfield Square mall to Barker Road.

Now, that landscape is changing, with five major retail projects under construction — including Brookfield Square's latest redevelopment phase, and the Von Maur department store-anchored retail center known as The Corners.

Blue Mound Road features dozens of shopping centers and stand-alone retail buildings on the three-mile stretch between Moorland and Barker Roads. Those buildings have long enjoyed high occupancy rates, said Bruce Westling, principal at NAI MLG Commercial and a veteran retail leasing broker.(13)